US corn jumps nearly 2pct on weak dollar

US corn futures rose nearly 2 per cent on Monday, approaching a two-year high reached earlier this month, as a weakening dollar supported commodities and there were prospects of strong global demand for the grain. Soybeans rose 1.4 per cent, while wheat was up almost one percent after finishing lower in the last session. Chicago Board of Trade December delivery corn added 1.8 per cent to $5.70-1/4 per bushel by 1204 GMT, not far from a two-year high of $5.88 hit on Oct. 13.

CBOT soybeans for November delivery rose 1.4 per cent to $12.16 a bushel and December wheat rose 0.9 per cent to $6.76-1/2 per bushel. The dollar index, which measures the strength of the greenback against a basket of currencies, was down 0.8 per cent at 1204 GMT. A weaker dollar makes US commodities competitive in the international market. Corn, which has been buoyed by expectations of lower yields in the United States and a production shortfall in China, has risen nearly 35 per cent in the past two months. Soybeans are up 10 per cent in October, while wheat has been largely unchanged this month. By 1204 GMT Euronext benchmark milling wheat for January was €0.75 (0.4 per cent) higher at €208.50 a tonne.